Step 1: Materials

Step 2: Disassemble and cut

Begin by disassembling the pallet. The easiest way to do this is to run a sawzall between the boards and the 2x4s and cut the nails. If you try prying the boards off you will likely just break them. Once you have the boards off, decide which ones will be used for the sides, top and bottom. The boards will likely be different widths, so you will have to find a combination that works so that you have the same total width for both sides and the same width for the top and bottom. For my crate, the sides are made of three boards each with a total width of 11". The bottom is three boards and the top is four boards with a total width of 13 1/2". I will use these measurements for this instructable but you may need to modify them if your boards are different sizes.

Cut your side, top and bottom boards to 21". Cut the remnants of your side boards to 12" for the ends of the crate. Cut four more pieces at 11" and four pieces at 13 1/2".

If you think a reciprocating saw is easy then you should try using a circular saw, because it's really easy. A circular saw is faster, and you can get a bit more wood out of the pallet too. I've done it both ways myself. I wouldn't waste my time with a reciprocating saw today.